ABA Banking Journal - September/October 2016 - (Page 42)

FEATURE > MARKETING geographic targeting feature to push notifications to customers whenever they're near a discount, incenting them to shop local and pay with their debit cards. "Geocoding works extremely well," says the bank's president and CEO, Peter Schork. "When you're driving down the street and you pass a car dealership or restaurant, [the app] will buzz you and alert you that you have a discount. It really is effective." The app can also be programmed to alert customers of things like mortgage and auto rates when they visit a realtor's office or a local car dealership, keeping the bank top-of-mind at crucial financial moments. As an institution with a large number of commercial banking clients-particularly restaurants-Schork says Larky was an especially good fit for Ann Arbor State Bank. "It's a two-edged sword," he says. "One, we have more debit card usage, interchange fees and people banking with us more, but also, we are a major player in the Ann Arbor downtown restaurant world, so we're very interested in helping our clients get additional business." The bank rolled the program out in early 2016, and Schork says his branch and commercial lending staff were instrumental in spreading the word. "We have used Larky as an opportunity to meet with our business customers and say 'we have something to offer you that's in essence a no-cost solution'," he says. "We have visited a hundred of our clients and many have signed up to give discounts on products." He adds that in addition to encouraging adoption among current debit card users, the bank has also begun targeting non-checking customers-mortgage customers, in particular-using "Local Loyalty" as an added incentive for them to deepen their relationship with Ann Arbor State Bank. And the feedback-from customers and businesses alike-has been overwhelmingly positive. "We have definitely seen more debit card usage," Schork says. "We have people using their debit cards more-not just at these places, but in general." The future of banking presents many unknowns. But if there's one thing that's a sure bet, it's that banks will continue to compete more aggressively than ever for market share and depth of wallet. And as these banks-and many others-have learned, enhancing the customer experience through debit card rewards can help give a competitive edge. MONICA C. MEINERT is assistant editor of the ABA Banking Journal. IT/GLBA AUDIT AND ASSESSMENT Our trusted technology experts actually help improve your security posture. We continue to enjoy the relationship with CoNetrix. It is good to have a partner that will tell you where you need to improve, not as a "gotcha" but as a "how can we help?" It is very important to us that we continue that.  t$*0PGB#JMCBOLJO5FYBT CoNetrix has performed IT/GLBA audits, network assessments, and penetration testing for 15 years, conducting over 300 security testing engagements annually. Our core competency is technology and our technical assessments are very thorough, resulting in an excellent reputation within financial institutions as well as federal and state regulators. Request a proposal & mention this ad f CoNetrix.com/ABA 42 819656_CoNetrix.indd ABA BANKING JOURNAL | 1SEPTEMBER/OCTOBER 2016 6/27/16 10:50 PM http://www.CoNetrix.com/ABA http://www.CoNetrix.com/ABA

Table of Contents for the Digital Edition of ABA Banking Journal - September/October 2016

PRESIDENT'S VIEW
UPFRONT
LEGAL BRIEFS
PICTURE THIS
COVER STORY
CECL FROM THE INSIDE: A CONVERSATION WITH FASB’S RUSSELL GOLDEN
WHERE ‘HABITS OF ECONOMY’ WERE SHAPED
HAT TIPS
CARD-LINKED REWARDS GIVE BANKS A COMPETITIVE EDGE
MARKETING
CYBERSECURITY
BANK-INSURANCE SALES
ABA COMPLIANCE CENTER INBOX
FROM THE STATES
CORPORATE SOCIAL RESPONSIBILITY
INDEX OF ADVERTISERS

ABA Banking Journal - September/October 2016

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